British pubgoers have been put on notice that they face sharp increases in the price of a pint as mounting inflationary pressures in the brewing industry combine with rising staff and utility costs and the looming end of coronavirus tax relief.
According to an article in the Financial Times, beer industry executives and analysts have warned that drinkers have yet to feel the full impact of brewers’ rising costs.
Similar to the US, the situation reflects the unrelenting broader inflationary pressures in the UK where prices rose at an annual rate of 5.5 per cent in January, the fastest in 30 years. The article said that the British Office for National Statistics figures show that input prices for UK makers of alcoholic drinks rose at an annual rate of 7.9 per cent in January, the fastest pace in a decade.
Tim Martin, founder of pub chain JD Wetherspoon, told the Financial Times that, “Those costs are going to come through. They’re only part of the cost borne by the pub, but they will be extremely painful on top of everything else.”
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